FABTQ (FAT Brands) ROCE %: -24.20% (As of Sep. 2025)

What is FAT Brands ROCE %?

FAT Brands FABTQ 49 ROCE % is -24.20% as of Sep. 2025. GuruFocus rates FABTQ with a GF Score™ of 49/100 and a GF Value™ of $74.40 (Possible Value Trap). The stock has 7 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. FAT Brands's annualized ROCE % for the quarter that ended in Sep. 2025 was -24.20%.

FAT Brands (OTCPK:FABTQ) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

FAT Brands ROCE % Related Terms

FAT Brands ROCE % Historical Data

* Premium members only.

The historical data trend for FAT Brands's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

FAT Brands ROCE % Chart

FAT Brands Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

ROCE %

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-23.55

-1.08

-1.24

2.06

-5.17

FAT Brands Quarterly Data
	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25
ROCE %	Get a 7-Day Free Trial															-3.43	-16.19	-3.57	-6.65	-24.20

49GF Score

FAT Brands Inc FABTQ

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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FAT Brands ROCE % Calculation

FAT Brands's annualized ROCE % for the fiscal year that ended in Dec. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	-54.35	/	( ( (1388.238 - 276.602)	+	(1289.178 - 298.316) )	/ 2 )
	=	-54.35	/	( (1111.636	+	990.862)	/ 2 )
	=	-54.35	/	1051.249
	=	-5.17 %

FAT Brands's ROCE % of for the quarter that ended in Sep. 2025 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Sep. 2025 )		(Q: Jun. 2025 )		(Q: Sep. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Sep. 2025 )		(Q: Jun. 2025 )		(Q: Sep. 2025 )
	=	-67.344	/	( ( (1247.76 - 335.681)	+	(1210.626 - 1566.176) )	/ 2 )
	=	-67.344	/	( ( 912.079	+	-355.55 )	/ 2 )
	=	-67.344	/	278.2645
	=	-24.20 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2025) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of -24.20% mean?

FAT Brands (FABTQ) has a ROCE % of -24.20% as of Sep. 2025.

Is FAT Brands' ROCE % too high?

FAT Brands' current ROCE % is -24.20%. Overall, FAT Brands has a GF Score™ of 49/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.

How does FAT Brands' ROCE % compare to TWNPQ and KITL?

FAT Brands' ROCE % of -24.20% can be compared against companies in the Restaurants industry. The industry median ROCE % is 6.01. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for a Restaurants company?

The median ROCE % among Restaurants companies is 6.01, based on 353 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Restaurants industry, the median ROCE % is 6.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. FAT Brands's current ROCE % is -24.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is FAT Brands stock overvalued right now?

Based on GuruFocus' analysis, FAT Brands (FABTQ) is currently considered Possible Value Trap. The stock's GF Value™ is $74.40, compared to a current price of $0.21 — trading 99.7% below its estimated fair value. The current ROCE % is -24.20%. FAT Brands' overall GF Score™ is 49/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For FAT Brands (FABTQ), the current ROCE % is -24.20% as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is FAT Brands (FABTQ) Overvalued in 2026?

Based on GuruFocus' analysis, FAT Brands stock appears to be undervalued. The current stock price of $0.21 is trading 99.7% below its estimated GF Value™ of $74.40. GuruFocus considers FAT Brands to be Possible Value Trap.

Key valuation signals for FABTQ:

ROCE %: -24.20%
GF Value™: $74.40 vs. price of $0.21 (99.7% below fair value)
GF Score™: 49/100 with 7 warning signs

No single metric tells the full story. See the FABTQ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

FAT Brands Business Description

Industry Consumer Cyclical Restaurants

Comparable Companies TWNPQ KITL CHSN MCD SBUX LSE:CPG CMG YUM TSX:QSR TSX:QSP.UN DRI YUMC TXRH DPZ LKNCY CAVA HKSE:06862 BROS TSE:7550 TSE:3563

Other Exchanges FATPQ.PFD:USA FATAQ:USA

Address 9720 Wilshire Boulevard, Suite 500, Beverly Hills, CA, USA, 90212

Website https://www.fatbrands.com

FAT Brands Inc is a multi-brand restaurant franchising company. It develops, markets, acquires, and manages quick service, fast casual, casual dining, and polished casual dining restaurant concepts around the world. The company operates as a franchisor of restaurants, where the company generally does not own or operate the restaurant locations but rather generates revenue by charging franchisees an initial franchise fee as well as ongoing royalties. For some of the company's brands, it also directly owns and operates restaurant locations. Its brands include Round Table Pizza, Fatburger, Johnny Rockets, Twin Peaks, and Elevation Burger among others. Geographically, the majority of the revenue for the company is generated from the United States.

49GF Score

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$0.21

Price

$74.40

GF Value

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